Association Boat Ownership
BoatWiki - Definitions
Definition
An association can be defined in boat ownership terms as a collaboration among one or more parties for a common cause. It is similar to a joint venture except more ongoing rather than project oriented.
Meaning
Although most associations are incorporated for operational purposes, those formed for boat ownership purposes are typically more limited with respect to membership. Rules and regulations for non-incorporated associations may vary within different jurisdictions.
Context
The rules may vary among the states when it comes to titling and registering a non-incorporated association owned boat. Some require ownership in the member names while others will accept the association's name. The USCG treats associations the same as joint ventures for documentation purposes. A vessel can be documented in the association's name, but this must be accompanied by a listing of all members. The citizenship status of each member is also a matter of concern.
Conclusion
This type of ownership may have member distributed liability and tax implications. Boaters who are considering this type of ownership who are unfamiliar with such issues may wish to consider professional assistance. The same applies to those who are dealing with an association owned boat.
Please assist your fellow boaters by wiki-sharing any comments or experiences with this subject.
Credits and References
8/30/2022 - Page initiated by Team BoatWiki.
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